Bought Deals: Time and Responsibility Schedule

Summary

This form provides a time and responsibility schedule for a bought deal. In a bought deal, the underwriter(s) agree to purchase all of the securities being offered by the issuer (or selling stockholders) after conducting, at most, limited pre-marketing activities. As a result, bought deals are conducted on a very accelerated timeframe (often overnight), and the issuer, the underwriters, and their respective counsel typically have very little time to prepare, launch, and close the transaction. Counsel for issuers with shelf registration statements on file with the Securities and Exchange Commission (SEC) should routinely confirm the status and capacity of such registration statements to avoid any complications and delays if a client decides to conduct a bought deal.